Vineland and Moonited Republic produce wine and cheese. The opportunity cost for the production of a bottle of wine in Vineland is two pounds of cheese, and in the Moonited Republic is 2.5 pounds of cheese. Based on this information, it can be concluded that
A. Vineland has an absolute disadvantage in the production of both goods.
B. Vineland has a comparative advantage in the production of wine.
C. based on comparative advantage trade between the two countries is not possible.
D. Vineland has a comparative advantage in the production of cheese and Moonited has a comparative advantage in the production of wine.
Answer: B
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